Implementation challenges of IFRS 9 impairment requirement in post-soviet countries' banks

Abstract

The purpose of this article is to examine the changes of impairment requirement in accordance with IFRS 9 and to provide the main challenges in implementation of new impairment model. This new accounting standard will have significant impacts on accounting practices and performance results. Although the goal of these changes is to simplify the existing rules and strengthen investor confidence in the financial statements of banks and the financial system, however, financial institutions, especially in most post-soviet countries, face a lot of obstacles during its implementation and only by solving these problems the goal of new standard will be achieved. CZU: 336.717.16:657.4(47+57) ; JEL: M41 Accounting, G21 Banks; Other Depository Institutions; Micro FinanceInstitutions; Mortgages.